re: Ann: Aim Listing, Demerger and Capital Ra...
This AIM idea is quite interesting though given the speed that everything works on AIM I dont know how realistic it will be to get it trading before the GGG offer expires.
My best guess is that they could get it listed with four months which is what it takes to get an admissions document done (and costs $500k at least) which would put them into august/september which is an extremely quiet time for capital raisings in london. Raise $25m in London is not hard for a decent gold project, just the brokers would probably twiddle thumbs on this and get move when they all come back from holiday end of august. I know as I have done many raisings there myself and also been on the receiving end as an institutional investor in london.
Its good to see some fireworks as the AZX market book was looking pretty boring. Management only have one rig going (which is insanity given its a 4moz structure - the canadians would be hammering it with ten rigs!) at present and anything that gets more news out is a good thing. Going slow on this project makes no sense and it is why the GGG guys have ended up making a takeover as they werent making any progress in getting AZX to speed up the program. There is over $20m in capital between the companies and this is a world class project. The market doesnt care about the other projects in AZX and I hear that AZX is still diverting resources to these rather than accelerating Bullabulling.
A spin out makes sense, but if they make the record date something silly like September people wont care.
All good tactics in a showdown, but in the end the institutional shareholders of both will drive this.
AZX onward and upwards!
AZX Price at posting:
68.6¢ Sentiment: Buy Disclosure: Held
